Indonesia’s US-listed digital payment and e-commerce platform KinerjaPay, through its subsidiary Kinerja Indonesia, has agreed to acquire local digital payment company PT Mitra Distribusi Utama (MDU). The financial details of the deal were not disclosed.
In an official statement, KinerjaPay says the acquisition process, which is expected to be accomplished by the end of 2018, will provide additional profit to the company and a total sales of $39 million.
MDU offers digital payment solutions for mini-market entrepreneurs, supermarkets, convenience stores, restaurants, workshops, and e-commerce sites.
It has been operating as mobile prepaid top-up data package provider for all telco operators in Indonesia since 2007 and in 2017 recorded over $30 million of sales, mainly in selling prepaid top-up balances and data plan for internet usage to Indonesia’s ever-growing mobile internet users.
KinerjaPay says, the integration of Mitra Distribusi Utama and Kinerja Indonesia will grow and strengthen its business throughout the country.
“This acquisition will transform KPAY’s position in the market to become one of the leading mobile prepaid companies in Indonesia. With the current average transaction volume of more than 2 million transactions per month, MDU will contribute significantly to the total transaction volume and revenue for the company,” said KinerjaPay chairman and CEO Edwin Witarsa Ng.
KinerjaPay is a digital company running a web portal and mobile application that provides payment solution while shopping online at its marketplace platform. It became the first Indonesian e-commerce company to be listed on the US OTC Market.
Earlier this year, the company acquired Kinerja Indonesia, whose line of businesses includes data center, web hosting and development, network solutions, e-wallet and games.
The acquisition of Kinerja Indonesia gives KinerjaPay access to cloud network and IP technology. The company had said it looked to enter the cloud computing services business with its very own KinerjaCloud. The technology will also enable the company to expand beyond Indonesia into Vietnam and Thailand.